Three Companies awarded pre-seed capital awards from A2’s SPARK

Ann Arbor SPARK –a non-profit dedicated to business expansion, retention, and location in the region– recently awarded more than $600,000 in funding from the Michigan Pre-Seed Capital Fund to three emerging companies.

The Michigan Pre-Seed Capital Fund recipients were:

-$250, 000 to Pixel Velocity of Ann Arbor, a company developing synchronized smart cameras that enhance and improve video images. Its initial focus is on two markets: security and surveillance and medical imaging. The principals have 25 years of experience with defense applications for challenging imaging applications.

-$107, 000 to OTO Medicine of Ann Arbor, a new biopharmaceutical business developing medicines to reduce noise-induced hearing loss.   The company’s principals were formerly with Pfizer and have more than 30 years of combined experience.

-$250,000 to ParkingCarma of Flint, which developed he world’s first dynamic parking guidance service, allowing subscribers to access currently available parking spots in a city through its satellite system. In January the company moved its operation from Emeryville, California.

In order to recieve the Pre-Seed Fund awards, each company was required to secure matching funds from investors. ParkingCarma raised  $500,000 from the Mott Foundation, OTO Medicine recieved $107K from an SBIR grant and Pixel Velocity secured $250K from angel investors.

The Michigan Pre-Seed Capital Fund is an equity fund that invests in technology-based companies to support business formation and acceleration.

“Support for technology-based start-up companies through the Michigan Pre-Seed Capital Fund provides a strong catalyst for jobs creation and growth throughout the state, contributing to Michigan’s emerging entrepreneurial-driven economy,” said Ann Arbor SPARK president and CEO Michael A. Finney.  “By matching funding from third party sources, such as venture capitalists and angels, the Michigan Pre-Seed Capital Fund will serve as a signal to investors that Michigan is committed to supporting entrepreneurs and developing a robust 21st century economy.”

SPARK recieved $8 million from the Michigan 21st Century Jobs Fund to create the new Fund. It is a collaborative effort of Michigan’s 11 SmartZones where each SmartZone recommends an investor to the Fund’s review board. The goal is to invest in technology-based businesses to support business formation and acceleration. Ann Arbor SPARK serves as the Fund’s administrator.

For more information, visit www.AnnArborSPARK.org or call (734) 761-9317.

Source: Ann Arbor SPARK